1993F09- KBL CABLESYSTEMS OF THE SOUTHWEST, INC.ORDINANCE NO.
AN ORDINANCE GRANTING A FRANCHISE TO
KBL CABLESYSTEMS OF THE SOUTHWEST, INC.,
DB/A PARAGON CABLE TO FURNISH CABLE
TELEVISION AND RELATED SERVICES AND
SETTING FORTH THE TERMS AND CONDITIONS
THEREOF
WHEREAS, the citizens of the CITY OF SCHERTZ, Texas (the "City") have
been served for some time by KBL Cablesystems of the Southwest, Inc., d/b/a
Paragon Cable, and its predecessors, with cable television and related services
pursua~}t to a franchise originally granted by the City on ~fv,u ~`° ,
19~ (the "Original Franchise").
WHEREAS, the Original Franchise is scheduled to terminate on
~H~lvist~ar~~. , 1993;
WHEREAS, the City Council has found that it is in the public interest for
the citizens of the City to have access to cable television and related services; and,
WHEREAS, it is the best interests of the citizens of the City that the City
Council authorize the franchise set forth in this ordinance;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF SCHERTZ, TEXAS (hereinafter, the "City"):
SECTION 1. Short Title: Definition
This ordinance shall be known and may be cited as the City of Schertz,
Texas Paragon Cable Television System Franchise Ordinance of 1993. Capitalized
terms not otherwise defined herein shall have the meanings set forth on Exhibit A
attached hereto and made a part hereof.
SECTION 2. Grant of Franchise.
The City hereby grants to KBL Cablesystems of the Southwest, Inc., a Texas
corporation d/b/a Paragon Cable (hereinafter, together with any successor
permitted hereunder, the "Grantee"), under the terms and conditions of this
franchise, the non-exclusive right and privilege to erect, construct, maintain and
operate in, upon, along, across, over, above and under the streets of the City, and
all extensions and relocations of, poles, wires, cables, underground conduits,
manholes and other conductors and fixtures necessary for the maintenance and
operation of a Cable System and the distribution of Cable Services.
SECTION 3. Franchise Term.
The franchise and the rights, privilege and authority hereby granted shall
take effect and be in force as of the Effective Date and shall continue in force and
effect for a term of fifteen (15) years.
SECTION 4. Transfer of Franchise: Sale of Grantee.
a. Subject to Section 4b, this franchise shall be held in personal trust by
the Grantee. No interest in this franchise shall be assigned, transferred, sold or
disposed of and no sale, merger, consolidation or transfer of controlling
ownership interest in the Grantee shall be permitted without the prior written
consent of the City and then only upon such conditions as may be prescribed to
guarantee the continued performance of the terms of this franchise by the
Grantee's successor. The Grantee shall be authorized to change its name at any
time and, subject to the requirements of the following sentence, may transfer this
franchise to any entity which is a wholly-owned subsidiary of the Grantee or
which is wholly-owned by the Grantee's owner or owners. The transfer to a
related entity described in the preceding sentence may be effected by the Grantee if
the Grantee establishes to the reasonable satisfaction of the City that the
transferee entity is sufficiently capitalized and experienced to operate and
maintain the Cable System under the terms of this franchise. The Grantee shall
give notice to the City of any such proposed change of name or transfer to any
entity with such common ownership with the Grantee or a subsidiary of the
Grantee at least sixty (60) days before the effective date of any such change or
transfer. Any attempt to assign, transfer, sell, or dispose of this franchise or an
interest in the Grantee except under the conditions of this Section 4a shall be void.
b. The Grantee may assign, mortgage or pledge its interest or equity in
the Cable System authorized by this franchise, or any part thereof, in connection
with the financing of improvements or extensions to the Cable System authorized
by this franchise, or as a general pledge of all the assets of its parent corporation,
or those of its successors in interest, to provide major funding for its parent
corporation.
SECTION 5. Franchise Territory and Line Extension Policy.
This franchise shall be for the present territorial limits of the City and for
any area hereafter added thereto during the term of this franchise. The Grantee
agrees to extend Cable Service to all areas within the corporate limits of the City
which have a housing density which is or becomes twenty-five (25) dwelling units
or more per street mile. The Grantee shall extend Cable Services to such areas
and to areas annexed by the City subsequent to the Effective Date within twelve (12)
months after the City notifies the Grantee that housing density in such area has
reached twenty-five (25) dwelling units per street mile in such areas.
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SECTION 6.
a. The Grantee shall have the right to use the streets of the City for the
construction, operation and maintenance of the Cable System as prescribed,
regulated and limited by provisions of this franchise and by local, Texas and
federal law, as in effect from time to time.
h All transmission and distribution structures, lines and equipment
erected by the Grantee within the legal boundaries of the City shall be so located as
to cause minimum interference with the proper use of streets and to cause
minimum interference with the rights and reasonable convenience of property
owners whose properties adjoin such streets.
c. In sections of the City where the cables, wires and other like facilities
of public utilities are placed underground, the Grantee shall place its cables,
wires or other like facilities underground.
d. The Grantee shall comply with all permitting requirements of the
City, including the payment of all permit fees and notice requirements, in
connection with any proposed cut or disturbance of City streets. In case of the
disturbance of any street, paved area or landscaped area by the Grantee, the
Grantee shall, at its own cost and expense and in a manner approved by the City,
replace and restore such street, paved area and/or landscaped area to as good
condition as before the disturbance. If such restoration or replacement is not
completed within thirty (30) days of the date of disturbance, or if the completed
work is found by the City to be unsatisfactory, the City may repair or replace the
inadequate work or complete the unfinished work and bill the Grantee for the cost
of such work, including but not limited to the cost of labor, materials,
supervisions, and overhead. During the term of this franchise, the Grantee shall
maintain the integrity of any paved surface over the Grantee's facilities, but only
to the extent that such paved surfaces have been restored by the Grantee or by the
City on the Grantee's behalf.
e. If at any time during the period of this franchise the City shall elect
to alter or change the grade of any street or construct any other public works
which will disturb the cables or other facilities of the Grantee, the Grantee, upon
reasonable notice by the City, shall remove, relay and relocate its poles, wires,
cables, underground conduits, manholes and other fixtures, as the case may be, at
no expense to the City.
f. The Grantee shall, on the request of any person holding a moving
permit issued by the City or the State of Texas, temporarily remove, raise or lower
its wires to permit the moving of buildings. The expense of such temporary
removal, raising or lowering of wires shall be paid by the person requesting the
same, and the Grantee shall be authorized to require payment in advance. Such
payment shall not exceed the Grantee's cost. The Grantee shall arrange for such
temporary wire changes prior to the expiration of six (6) days from the date notice
is given to the Grantee by the person holding the moving permit.
g. The Grantee shall have the authority to trim trees upon and
overhanging streets and easements of the City so as to prevent the branches of
such trees from coming in contact with the wires and cables of the Grantee,
except that at the option of the City such trimming may be done by the City or
under its supervision and direction at the expense of the Grantee if the Grantee
has failed after two (2) weeks' notice by the City to perform such work. The City
may at any time with the Grantee's concurrence perform such work at the
Grantee's expense.
h. If during the term of this franchise, the City grants approval of plats
for new developments, the City may notify the Grantee or advise the developer to
notify the Grantee of the timing of construction and location of trenching of righta-
of-way and give the Grantee reasonable opportunity to place cable in such
trenches. The City will promptly provide the Grantee with copies of all plats for
new developments approved by the City during the term of this franchise.
i. If at any time during the term of the franchise, the Grantee's cables,
wires or other equipment or facilities should be damaged or destroyed, the
Grantee shall promptly and (except for damage or destruction resulting from the
gross negligence of the City or its employees) at the Grantee's expense and
without cost to the City repair and restore such cables, wires or other equipment
or facilities. Nothing herein shall prevent the Grantee or the City from seeking
recovery, reimbursement or contribution from any third party which may have
caused or contributed to the Grantee's or the City's damages or expenses.
j. Whenever possible, the Grantee will bore, rather than trench, to
minimize disturbance in paved areas. The Grantee assumes responsibility for
establishing to the City's reasonable satisfaction that trenching, rather than
boring, is the most effective means of equipment installation, taking into account
street construction and maintenance, due either to cost, maintenance or liability.
The City agrees that approval to trench will not be unreasonably withheld. The
Grantee will perform work involving disturbance of paved areas following
approval from the City's Public Works Department. The Grantee, upon prior
notice before paving, shall install conduit under street intersections during their
construction and otherwise install cable during the development of subdivisions to
avoid subsequent cutting of streets.
SECTION 7. Franchise Fees.
a. In consideration of the grant of this franchise under this ordinance,
the Grantee shall pay to the City annually the greater of five percent (53'0) or such
percentage permitted by applicable federal law of the Grantee's Gross Revenues
derived from or attributable to the Cable System authorized by this franchise.
Such payment shall be in addition to any ad valorem, sales or other taxes, license
fees, permit fees or other fees or charges levied or charged by the City on the
Grantee, or agreed upon contractually elsewhere in this franchise or by separate
agreement. The payment due to the City pursuant to this Section 7a shall be
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computed and paid quarterly thirty (30) days after the close of each quarter of the
Grantee's fiscal year, which currently ends on December 31. The Grantee shall
file with the City, within sixty (60) days after the close of each of the Grantee's
fiscal quarters, a statement showing the Gross Revenues received by the Grantee
during the immediately preceding quarter and the amount of the franchise fee
then due. Such statement shall also identify all cash revenues received by the
Grantee during such quarter which have been excluded from Gross Revenues.
Payment of the franchise fee shall be remitted with such statement. A copy of the
Grantee's income statement for the Grantee's entire fiscal year, audited by an
individual or firm of independent certified public accountants, shall be made
available to Grantor upon receipt by Grantee.
b. The City shall have the right to inspect and audit the Grantee's
income records and the right to recompute any amounts determined to be payable
under this franchise. An audit of any fiscal year may be made at any time during
the term of this franchise but limited only to the examination of the Grantee's
books for the immediate preceding two (2) calendar years from the date of such
audit request. Any additional amount due as a result of such audit, together with
interest at the maximum interest rate permitted by law from the last day of the
fiscal year from which such additional amount is due, shall be paid to the City
within thirty (30) days following written notice to the Grantee by the City, which
notice shall include a copy of the audit report. The cost of such audit shall be
borne by the Grantee only if it is determined that the Grantee's annual payment to
the City should be increased by three percent (3%) or more of the City's annual
franchise fee received in the immediate preceding two (2) calendar years from the
date of such audit. Should there be such a deficiency following an audit of the
Grantee's books the City shall have the right during the term of this franchise to
conduct a second audit examination of the Grantee's books which may, at the
Grantor's option, extend to the time period ending with the last audit period that
reflected a deficiency in the Grantor's payments. Such an audit shall be
conducted at Grantee's expense by an independent accounting firm to be mutually
agreed upon between the parties. Such an audit shall consist of a representation
letter based on an examination of the franchise fee payment schedule.
c. Acceptance of any payment by the City shall not be construed as a
release or as an accord and satisfaction of any claim the City may have for further
or additional sums payable as a franchise fee or for the performance of any
obligation of the Grantee hereunder.
SECTION 8. Liability and Indemnification.
a. The Grantee releases and shall indemnify and hold the City
harmless from any and all loss sustained by the City on account of any tax,
penalty, fine, costs, expense, suit, judgment, execution, claim or demand
whatsoever against the City resulting from the Grantee's construction, operation
or maintenance of the Cable System and/or any other actions or omissions taken
or not taken by the Grantee in connection with this franchise. The Grantee may,
and if requested in writing by the City shall, undertake the defense of any claim,
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action or proceeding for which the City is indemnified under this Section, and,
thereafter, the Grantee shall not be liable to the City for any legal or other
expenses of the City other than reasonable costs subsequently incurred by the City
at the request of the Grantee in connection with the defense thereof. The Grantee
shall not be liable for the settlement of any such claim, action or proceeding
effected without its consent. The City shall give the Grantee prompt notice of any
claim, action or proceeding against it upon which the City may seek indemnity
hereunder.
b. The Grantee shall carry, throughout the term of this franchise,
personal and property damage liability insurance with insurance companies
qualified to do business in the State of Texas. Such insurance shall show the City
as an additional insured party. The amounts of such insurance to be carried for
liability due to property damage shall be $500,000 as to any one occurrence, and
against liability due to injury to or death of a person $2,000,000 as to any one person
and $5,000,000 as to any one occurrence. A certificate or certificates of insurance
shall be filed and maintained with the City during the term of this franchise. The
Grantee agrees that, at the end of the fifth and tenth complete fiscal years
following the Effective Date of this franchise, it will increase the amounts of
insurance required to be maintained by the Grantee under this Section Sb in
accordance with an opinion of a qualified insurance consultant agreed to by the
City and the Grantee stating that such amounts should be increased.
SECTION 9. Performance Evaluations.
The City Council shall have the right under this franchise at any time to
review the performance of the Grantee hereunder and to ascertain that all
provisions of this franchise are being fully and faithfully carried out. The City
Council may conduct formal performance evaluations of the Grantee's Cable
System and Cable Services on or about the fifth, ninth and thirteenth anniversary
of the Effective Date of this franchise. The City shall permit the Grantee to be
involved in and comment on establishing the method and format of such
evaluation prior to the evaluation.
SECTION 10. Revocation and Termination of Franchise.
a. The City shall have the right to revoke and terminate this franchise
if, in the City's sole judgment, the Grantee has (1) taken or permitted an act
described in Section 14c or committed a series of violations of this franchise such
as to indicate that the Grantee is unable or unwilling to comply with the terms of
this franchise, and the Grantee has failed to take reasonable steps to correct or
desist from the violations within a reasonable time after due written notice has
been given to the Grantee by the City, or (2) if the Grantee files in any court a
petition of voluntary bankruptcy or is involuntarily adjudged bankrupt in any
court of competent jurisdiction or is placed in receivership or trusteeship or (3) if
the Grantee's title and interest in the Cable System authorized by this franchise or
in this franchise is taken by judicial or nonjudicial execution or is forfeited or
subject to forfeiture before any court.
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b. If at any time the City has reason to believe that the Grantee is in
jeopardy of having this franchise revoked and terminated for any reason, the City
shall so notify the Grantee in writing, and order the Grantee to show cause before
the City Council within thirty (30) days of such notice why such revocation or
termination should not take place. If the Grantee fails to show cause, or in any
case if the City finds (1) that any of the causes set forth in Section l0a are
applicable, (2) that adequate notice has previously been given and (3) that the
Grantee has failed to correct the defects or violations as required, the City may
declare this franchise to be revoked and terminated.
SECTION 11.
The Grantee shall maintain an office reasonably accessible to residents of
the City who are subscribers of the Cable System and which shall be open during
normal business hours, have a listed telephone number and be so operated that
complaints and requests for repairs or equipment adjustments may be received at
any time. The Grantee's office shall be the principal place for the receipt of soma
due from its subscribers The Grantee shall provide for regular billing of
accounts.
b. The Grantee shall furnish to each new subscriber, at the time service
is installed, a written statement that clearly sets forth procedures for placing
trouble calls or requesting equipment adjustments, and an annual reminder that
the subscriber can call or write the City if the Grantee fails to respond to the
subscriber's request for installation, service or equipment adjustment within a
reasonable period of time.
c. The Grantee shall respond to requests for service on the same day if
the request is received prior to 2:00 p.m. In no event shall the response time for
calls received later than 2:00 p.m. exceed twenty-seven (27) hours.
d. The Grantee may interrupt Cable System service after 7:00 a.m. and
before 1:00 am. only with good cause and for the shortest time possible and, except
in emergency situations only after giving notice to subscribers that Cable Service
will be interrupted. Cable Service may be interrupted between 1:00 a.m. and 7:00
a.m. for routine testing, maintenance and repair, without notification, any night
except Friday, Saturday or Sunday, or the night preceding a holiday.
e. Whenever service to any subscriber of the Cable System is interrupted
for any period of time in excess of twenty-four (24) hours, or the Grantee violates
the service standards then in effect recommended by the National Cable
Television Association, and such interruption or violation is known to the Grantee
(whether or not notice is given by the affected subscriber), in addition to all other
refunds and penalties due pursuant to federal law or regulation, the subscriber,
upon request, shall receive a rebate of one-thirtieth (1/30th) of his monthly
subscription fee for each day or part thereof from the time service is interrupted or
service standards are violated until service is restored or corrected. For purposes
of this Section, "interruption of service" means that a subscriber is not receiving
all subscribed-for services.
f. The Grantee shall maintain records listing date and time of trouble
and service complaints, identifying the subscriber and describing the nature of
each complaint and what action was taken by the Grantee in response thereto.
Such records shall be available for inspection by a representative of the City at any
time during regular business hours. The Grantee shall use its best efforts to
develop a summary of such report for each fiscal quarter for inclusion with the
payment and report due under Section 7a.
g. The programming available on the Cable System and the rates in
effect on the Effective Date are identified on Exhibit B attached hereto. The
Grantee shall file all changes in channel space allocation and rates with the City
at least thirty (30) days in advance of the effective date of such change and shall
provide customers of the Cable System with at least thirty (30) days' prior notice of
channel apace allocation and rate changes.
SECTION 12. Technical Standards and Reports.
a. Technical standards shall be maintained in compliance with Federal
Communications Commission Rules and Regulations 47 C.F.R., Part 76, Subpart
K, and as amended from time to time.
b. If, during the term of this franchise, Grantee develops, builds or
obtains the ability to provide other forms of cable services not currently being
provided, and such new services are offered and provided to either residential or
commercial subscribers in the City, and if such services are subscribed to by
residential or commercial subscribers, then, Grantee shall provide at least one (1)
service connection to provide such service to Grantor's facilities as set forth in
Section 18(a) herein. Provided however, that Grantee shall be under no obligation
to continue to provide such new service(s) to Grantor if Grantee ceases to offer or
provide such new service(s) to either residential or commercial subscribers in the
City. It is further agreed that Grantee shall upgrade its cable services to provide
fiber optic technology by December 31, 1997.
c. The Grantee shall advise the City with its quarterly report of any
changes in federal and/or Texas law and regulation relating to the cable industry
and any advances in technology in the cable industry relating to the quality and
quantity of service which may be available and shall promptly inform the City of
the implementation of any interconnect with another cable system.
d. The Grantee shall arrange for its representatives to meet at least
once each fiscal year with representatives of the City to provide additional
information which the Grantee believes is useful to the City in connection with the
Cable System and to respond to inquiries from the City in connection with the
Cable System and this franchise.
SECTION 13. Parental Control of Programs.
The City and the Grantee agree that public concern has been expressed
regarding the reception in subscribers' homes of television programs that are
offensive to some persona, that are intended for viewing by adults and that are
believed by some persons to be detrimental to the community's cultural values.
Neither the City nor the Grantee wishes or intends to regulate the content of
television or radio programs, or any other services obtained from independent
sources and retransmitted over the Cable System. Nevertheless, the City and the
Grantee agree that a public interest exists and that there is a need for certain
services to permit parents to exercise greater control over the television programs
watched by their children. Therefore, the Grantee agrees as follows:
(a) The Grantee shall provide a locking device to any
subscriber of the Cable System, at the subscriber's request, which
when locked by a key will prevent the television set from being tuned
to any channel designated by the subscriber. The Grantee shall have
the right to charge an amount equal to its cost of providing said
locking device.
(b) If the Grantee offers any pay television services, at least
one television service (pay or non-pay) shall consist of television
programs predominantly of a wholesome nature intended for
viewing by children.
SECTION 14. Books and Records.
a. The Grantee's books of account and records of its business and
operations under and in connection with this franchise shall be maintained and
available at the Grantee's office in San Antonio, Texas.
b. The City shall have access upon reasonable notice and at reasonable
times to review all of the Grantee's books of account and records of its business
and operations to the extent reasonably necessary to enforce the terms of this
franchise.
c. Any false entry in the books of account or records of the Grantee or
any false statement in the reports to the City as to a material fact, knowingly made
by the Grantee, shall constitute a major violation of this franchise.
SECTION 15. Severability.
If any portion of this franchise is for any reason held invalid or
unconstitutional by a court of competent jurisdiction or is superseded or
preempted by any State of Texas or federal law or regulation, such portion shall be
deemed a separate, distinct and independent provision and shall not affect the
validity or effectiveness of the remaining portions hereof.
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SECTION 16.
When any provision or condition to be performed by the Grantee under the
terms of this franchise is prevented, delayed or interrupted by lack of labor or
materials caused by conditions beyond the reasonable control of the Grantee, or by
fire, storm, flood, war, rebellion, insurrection, sabotage, riot or strike, or by failure
of carriers to transport, make delivery or furnish facilities for transportation, or
as a result of some law, order, rule, regulation or necessity of governmental
authority, whether local, state or federal, or as the result of the filing of a suit by
the City against the Grantee (unless the Grantee is ultimately determined in such
litigation to have been in material violation of this franchise and Grantee has
failed to cure such breach), in which the Grantee's franchise may be affected, or
as a result of any cause beyond the reasonable control of the Grantee, this
franchise shall remain in full force and effect. The Grantee shall not be liable for
any breach of any express or implied covenant or obligation under this franchise
when the same is prevented, delayed or interrupted, provided that Grantee shall
make a good faith effort to carry out or complete, as the case may be, its duties and
obligations hereunder in a timely manner.
SECTION 17. Regulation.
The City shall automatically have all of the rights, benefits and powers
granted to municipalities under federal or State of Texas cable television laws or
regulations in effect and as amended during the term of this franchise, including
specifically all powers or rights to regulate cable television rates, services and
programming, as if such laws and regulations were incorporated herein. Any
other matters permitted by such enactments or amendments shall be negotiated
in good faith by the City and the Grantee.
SECTION 18. Publicly Owned or Leased Facilities and Public Service
a. The Grantee shall provide at least one service connection in each of
the following locations:
L all governmental buildings or facilities as may be now or
hereinafter designated by the City Manager or his agent;
2. all public and parochial school buildings as may be designated
now or hereinafter by the chief administrative officer of each school district
or parochial school system in the City; and
3. each classroom building and dormitory building of each
college or university in the City.
Such service connections shall be provided to buildings as designated by the
proper administrative official within at least three (3) months of the date service is
available to such building. In addition, a converter to provide the capability of
1f)
receiving all services except "pay television" shall be provided to each such
location.
b. No charge shall be made by the Grantee for the installation,
disconnection (when requested) reconnection (when requested), monthly services
and/or maintenance of equipment authorized by Section lSa.
c. Grantee agrees to develop by December 31, 1995, considering the then
beat available technology, the capability to introduce an audio and video message
on the Cable System in times of public emergency, and to provide that such
override may be introduced from a City facility. Grantee further agrees to furnish
a status report of such technology available in its quarterly report due at the close
of the second quarter after the passage of the ordinance manifesting this
franchise agreement, and thereafter in subsequent quarterly reports as may be
reasonably convenient.
d. The Grantee shall provide substantially locally-originated
programming each week and shall exceed all such programming requirements
or recommendations of the Federal Communications Commission or applicable
State of Texas or federal law or regulation. The Grantee may produce such
programming itself or may rely on local groups to produce such programming
with technical assistance from the Grantee. The Grantee agrees to permit the
City, at its option, to participate in the formation and operation of a broadly
representative advisory board to help implement community involvement in local
origination production and use of public access channels. The Grantee shall
provide and maintain a studio in San Antonio, Texas or in another location at
Grantee's option reasonably accessible to residents of the City for the purpose of
local program production and origination.
SECTION 19. Security
Upon request by the City, the Grantee shall furnish to the City an
irrevocable letter of credit acceptable to the City or a bond issued by a surety
company in form and amount reasonably acceptable to the City guaranteeing that
the Grantee will faithfully fulfill and perform each and every term and condition
of this franchise and that in the case of default by the Grantee, the City may
recover from the principal and/or the bonding company or issuer of the
irrevocable letter of credit or surety bond the City's liquidated damages for the
Grantee's default.
SECTION 20. Waiver
The waiver by either party of a breach or violation of any provision of this
agreement shall not operate as or be construed to be a waiver of any subsequent
breach of any provision of this agreement. To the contrary, such conduct shall not
be considered a waiver of either party to future performance of any such
provisions of this agreement, and the obligations of the parties to such future
performance shall continue in full force and effect.
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SECTION 21. Equal Treatment
If at any time during the term of this franchise, the Grantee modifies or
renews its franchise agreement with the City of San Antonio, Texas or any other
franchisor Zocated wholly or in part in Bexar County, Texas, the Grantee shall
notify the City and provide the City with a copy of such modification or renewal
instrument. If such franchise agreement, as modified or renewed, contains
provisions relating to franchise fees, customer rates or charges, city tax
calculations or payments, or cable services, and the City believe such provisions to
be of benefit to the City, then, at the written request of the City, such provisions
shall be incorporated into this franchise. Furthermore, the Grantee shall
negotiate in good faith with the City regarding any other provisions contained in
said revised franchise with the City of San Antonio or any other franchisor in
Bexar County, Texas and shall include agreed upon provisions in this franchise
with the City. City agrees, however, that City shall not request inclusion of any
provisions relating to: (1) Purchase of the Cable System by City; (2) Expenditures
related to franchise renewal or modification; or, (3) public, educational or
governmental access in excess of that required by law. ,
PASSED AND APPROVED for a first reading the ~ ~ day of
1993.
ATTEST:
i
Y SECRE Y
PASSED AND APPROVED the ---~-~ day of
ATTEST:
'~ ~ ~`
' C~ SECRET Y
>2
EXFIlB1T A
"Cable Services" means the total of the following.
L the transmission to or from subscribers or other
authorized users of video programming or other telecommunications
service; and,
2 subscriber interaction, if any, which is required for the
selection of such video programming or other telecommunications
service.
"Cable System" means a facility, consisting of a set of closed transmission paths
and associated signal generation, reception and control equipment, that is
designed to provide Cable Services to multiple subscribers or other authorized
users in the City. Such term does not include the following:
1. a facility that serves only to retransmit the television
signals of one or more television broadcast stations;
2. a facility that serves only subscribers in one or more
multiple unit dwellings under common ownership, control or
management, unless such facility uses any public right-of--way;
3. a facility of a common carrier, except that such facility
shall be considered a Cable System to the extent such facility is used
in the transmission of video programming directly to subscribers; or
4. any facilities of any electric utility used solely for
operating its electric utility system.
"Effective Date" means November 9, 1992.
"Gross Revenue" means all revenues received by the Grantee from all sources
and derived from or attributable to the Cable System, including but not limited to
installation fees, subscriber fees, pay television charges and advertising charges,
but excluding all taxes collected by the Grantee as required by law and wholly
transmitted to a local government, the State of Texas or the federal government.
II-'~IIB1T B
Proeramming/S rvi a and Ratna
~.' W li~l. Ll~.-Vr
2 HEADLINE NEWS - 24-hour News 32 TNN -Country
Updates every Half Hour
3 KMOL CHANNEL 4 -NBC (S.A)
4 THE FAMII.Y CHANNEL -Family
Programming, Comedies, Series
b GALAVISION - 24 -Hour Spanish
Language Programming
6 HENS -CBS (SA.)
7 HRRT -FOX (S.A)
8 H:WEX - Univision (S.A.)
9 NICKELODEON -Children & Family
Programming (P.T.A Endorsed)
10 KLRN -PBS -Public Broadcasting
11 HABB -Independent (S.A.)
12 TBS -Independent (Atlanta)
13 KSAT -ABC (SA)
14 HOME BOX OFFICE -Blockbuster
Movies, Sports & Comedy Specials 24-
hours (+)
15 FIRST CHOICE PREVIEW -Preview
clips and Ordering Instructions for Pay-
Per-View
16 SHOWTIME - 24-Hour Movies,
Specials, Comedy and Boxing (+)
17 KVDA - Telemundo -Spanish Language
(S.A.)
l8 WGN -Independent (Chicago)
19 EDUCATIONAL ACCESS
~ PUBLIC ACCESS
21 GOVERNMENT ACCESS
22 RELIGIOUS ACCESS - Catholic TV of
San Antonio
~i HOME SPORTS ENTERTAINMENT -
Now 24 hours
`lA ESPN - 24-Hour Sports and Specials
25 TNT -Classic Movies, Specials and
Sports
~ KBL - TV/QVC Home shopping
27 AMERICAN MOVIE CLASSICS -
Popular films from the '30's, through the
'70's
`1B A & E -Drama, Dance, Comedy and
Music
29 LIFETIME -Health, Fitness, Hobbies &
Medicine
30 THE DISCOVERY CHANNEL -Nature,
Science, and History
31 USA -Original Movies, Series &
Wrestling
33
34
35
36
36
39
40
41
42
iii
44
9S
Motor Sports
Music, Talk Shows,
BET -Black Entertainment Television
MTV - 24 Hour Variety Music Videos
and Game Shows
CNN -News 24-Hours a day
THE WEATHER CHANNEI. - Up-to-
the-minute Local, National and
International Reports
CNBC - Up-To-The-Minute Financial
News & Current Affairs (•)
VH-1/THE COMEDY NETWORK - 24-
Hour Music Video/Comedy
C-SPAN I -Congress and Government
in Action
GSPAN II/FIItST CHOICE REEL
DEAIIPLAYBOY (+,**)
THE MOVIE CHANNEL - 24-Hour All
Movie Channel (+,••)
THE DISNEY CHANNEL -America's
Family Network (+,••)
HOME SHOPPING CLUB -Shop For
Bargains from Home (•)
FIRST CHOICE -Movie of the Week
(+,••)
FIRST CHOICE -Movie of the Day
(+,••)
FD3ST CHOICE -Rendezvous
Theater/Adult Movies (+,••)
Limited Basic is available only on
Channels 2 thru 22.
Preferred basis is available only on
Channels 2 thru 40.
MUST HAVE LIMITED BASIC TO
RECEIVE PR.EFIItItID BASIC CABLE.
NEW CHANNEL CHANGES
INDICATED IN PURPLE
(+) Available at additional charge
(") Channels require a Z-View Converter
or Cable Ready TV.
(•`) Channels require a Z-View Converter
EFFECTIVE 8-12-92
PARAGON CABLE
SAN ANTONIO
TOTAL ENTERTAINMENT PRICE GUIDE*
TOTAL ENTERTAINMENT
Basic Cable Service ............................................................................$ 20.40
Senior Citizen Discount**(must be 65 years or older) .....................$ 18.30
I.IIKPI~D
Basic Cable Service ............................................................................$ 14.95
Senior Citizen Discount ** (mustbe 65 years or older) ...................$ 13.45
Basic Cable Service (Available with limited)*** .............................$ 5.45
PREMIUM CHANNELS (+)
HBO ........................................................................................................$ 11.00
Showtime ..............................................................................................$ 10.00
The Disney Channel ..........................................................................$ 7.95
The Movie Channel ...........................................................................$ 5.95
SPECIAI. PACKAGES (++)
HBO/Showtime (+) .............................................................................$ 19.95
Limited Basic and HBO Package ...................................................$ 17.50
Showtime/The Movie Channe]/Disney .........................................$ 16.90
HBO/Disney .........................................................................................$ 14.95
HBO/The Movie Channel .................................................................$ 14.95
ShowtimelThe Movie Channel .......................................................$ 12.95
Showtime/Disney .......................................................................:.......$ 10.95
FIRST CHOICE PAY-PER-VIEW (**)
First Run Movies ................................................................... $1.99 - $ 3.95
Rendezvous Theatre ........................................................ ..........$ 4.50
Tune to First Choice channel 38 for information on
movies, special sporting events, and concerts. Prices on
special events vary.
Installation and Miscellaneous charges
provided on reverse side of this card.
(*) Prices subject to change. Taxes and fees not included.
(*') Other restrictions may apply.
(***) MUST HAVE LB4IITED BASIC TO RECEIVE PREFERRED BASIC CABLE.
(+) Converter may be required at additional cost.
(++) Must have a Z-View Converter.
Effective January 31, 1992
INSTALLATION CHARGES
Standard Installation .......... $ 40
00
.............................................................
.
Transfer of Service (within 3o days of move) ....................................$ 15.00
Change Level of Basic Service ...................................................... ..$ 15.00
Install AdditionaURelocate Outlets ............................................ ..$ 15.00
VCR Installation ......................................................
. $ 15
00
.
......................
A/B Switch (Purchase Price) ........................................................ ..
.
..$ 15.00
Disconnection of Basic Service ..................................................... .......N/C
Add (Upgrade) Service .................................................................... ..$ 10.00
Add Addressable Pay Service (w/Z-View) ................................. ..$ 5.00
Remove (Downgrade) Service ....................................................... .......N/C
Service Calls -Cable Related ......................................................... .......N/C
Converter Deposit ...................................................... N/C
..............................
Unreturned Set-Top Converter .......................................................$ 50.00
Unreturned Remote ............. 00
$ 30
...........................................................
Unreturned Z-View Converter ..................................................... ..
.
..$200
00
Unreturned Paragon Personal .
Controller Remote Control ...................................................... ..$ 50.00
CHANNEL CONVERTERS/OUTLETS/VCRS -MONTHLY
Standard Set-Top Converter ............................................................$ 3.05
Z-View Remote Control converter .................................................$ 3.05
Paragon Personal Controller
Remote Control (++) ....................................................................$ 1.90
Each Additional Outlet .....................................................................$ 4.00
VCR Outlet ................................................................................................N/C
MISCEGI,ANEOUS CHARGES
Weekly Cable Guide ........... ............................................(per month) $ 3.29
Rate for Late Payment .... ..................................................................$ 5.00
Returned Check Charge ..................................................................$ 18.00
Wield Collection Charge ....................................................................$ 15.00
FOR MORE INFORMATION CALL:
222-0500
ACCEPTANCE OF THE CITY OF OF SCHERTZ, TEXAS
PARAGON CABLE TELEVISION SYSTEM
FRANCHISE ORDINANCE OF 1993
The undersigned duly authorized officer of KBL Cablesystems of the
Southwest, Inc. hereby, on behalf of the corporation, unconditionally accepts the
terms of the City of Schertz, Texas Paragon Cable Television System Franchise
Ordinance of 1993 as approved by the City Council of the City of Schertz, Texas on
Aor i 1 6 , 1993, and agrees to comply with and abide by all
of its provisions, terms and conditions.
In accepting this franchise, the Grantee acknowledges that its rights
hereunder are subject to the police power of the City to adopt and enforce Charter
provisions, if any, and ordinances necessary to the health, safety, welfare and
property of the public, and the Grantee shall comply with all applicable Charter
provisions, if any, and ordinances of general applicability enacted by the City
pursuant to such power if an emergency exists constituting a danger to the
health, safety, welfare or property of the public.
ACCEPTED this 27 day of May .1993.
KBL CABLESYSTEl
SOUTHWEST, INC.
w~
OF THE
and General Manager
~' = RECEIVED FEB 2 7 1995
P A R A G O N
C A B L E
T.J. Connolly
Vice President
Public Affairs
SAN ANTONIO
February 24, 1995
City Manager Kerry Sweatt
City of Schertz
P. O. Drawer I
Schertz, Texas 78154
Dear Kerry:
At the February 23 meeting of the San Antonio City Council, the Council reviewed and
approved Paragon Cable's February 1, 1995 basic cable, equipment and installation rate
submissions. This rate submission is anticipated to be the only regulated adjustment for
calendar year 1995. Paragon Cable did not propose any unregulated service increases.
On April 1, 1995 the basic cable rate in your community will rise from the current $8.63 per
month to $8.92. This 29 cent increase is the first basic cable rate increase since the spring
of 1991. This increase of less than 3% comes after a total of over 45% in mandatory basic
cable rate decreases over the last two years as a result of the 1992 Cable Act. (The 1992
Cable Act allows the cable operator to adjust their city regulated services annually to allow
for inflationary and programming increases or decreases. The operator must appropriately
reflect the increases or decreases at that time.)
In addition to the basic cable rate increase, the standard service (regulated by the FCC) will
rise $.44 from the current $11.23 per month to $11.67. Finally, the Z-view converter will
increase $.63 from $1.95 to $2.58.
In addition to approving the rate increases, the Council also approved the following rate
decreases: installation in unwired homes from the current $27.95 reduced to $18.16,
installation in prewired homes from the current $27.95 reduced to $14.16, installation of an
additional outlet at the time of install from the current $13.95 reduced to $6.05, installation
of an additional outlet requiring a separate trip from the current $13.95 reduced to $10.05,
and finally a wall drop from the current $27.95 reduced to $13.32. All of these above stated
rate changes will take effect on April 1, 1995.
415 N. Main Avenue, P.O. Box 1 121, San Antonio, Texas 78205, 210/222-9912
Owned by a KBLCOM Incorporated Company
February 24, 1995
Page 2
I thought you might find the following information of interest in comparing your basic cable
rate as an uncertified city of $8.92 with the three certified cities. The new rate in the City
of Leon Valley will be $9.10, in the City of Windcrest the rate will be $9.12, and in the City
of Alamo Heights the rate will be $9.22.
If you have any questions regarding the rate information, or if I can be of any assistance in
any other cable matter, please don't hesitate in contacting.me directly. As always, Paragon
Cable sincerely appreciates the opportunity to do busi:.ess in your community. I look
forward to seeing and talking with you soon.
Sincere
' --
1
T. J. Cort~ctolly
Vice Pre$ident of Public Affairs
I
TJC:bhf
cc: ~or Hal Baldwin
- RF~F~v~'n Gca e ~ ~~~~
P A R A G O N
C A B l E
SAN ANTONIO
February 24, 1995
Mr. Kerry Sweatt
City Manager
City of Schertz
P. O. Drawer I
Schertz, Texas 78154
Dear M~L~'a~f ~.~.
On Tuesday or Wednesday of this week, you should have received the form 394, along with
back-up information regarding the transfer of KBLCOM, Inc. to Time Warner, Inc.
Next week, I will be forwazding a draft resolution to you for your review and utilization with
regazd to approval of the transfer. The form 394 must be approved by your City Council, as
well as the adoption of a resolution approving the transfer of KBLCOM, Inc. to Time Warner,
Inc.
Please contact me or T.J. Connolly anytime should you have questions about the form or
transfer thus faz. My direct phone number is 225-3875, extension 17 and my pager number is
351-1745. T.J.'s phone number is 222-9912, extension 203.
Thank you and I look forward to talking with you soon.
Sinc y,
Gen M. Nivens
Public Affairs Manager
GMN:pr
cc: T.J. Connolly
Vice President of Public Affairs
403 Urban Loop, San Antonio, Texos 78207
Owned by a KBLCOM Inmrpomfed Compony
CORD ~, CERTIFICATE OF LIABILITY INSURANCE DA6I5/ZOM 02 I
. GOUGER 667
MARSH INC.
1188 Avenue of the Americas THI8 CERTIFICATE L4ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS
NO RIGHTS UPON THE CERTIFICATE HOLDER. THI8 CERTIFlCATE DOES NOT
AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.
New York, NY 10036-2774
INSURERS AFFORDING COVERAGE
INSURED Tian Warmrlnc.Bam SUGSltllary Campam INSURER A: T2VBIefS lndBmDliy Of IIIIDO6
PARAGON COMMUNICATION, INC. INSURER B: NBIIOR81 Union Fife IGb. CO. Of PllSbUrg PA
DBA TIME WARNER CABLE INSURER C: See Attached
84 N.E. LOOP d10, SUITE 200
SAN ANTONIO, TX 78Zi3 INSURER D'
THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICTED. NOTIMTHSTANDING ANY REOVIREMENf, TERM OR CONDITION
OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THI8 CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BV THE POLICIES DESCRIBED HEREIN IS
SUBJECT TO ALL THE TERMS, E%CLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BV PAID CLAIMS.
INSR
TYPE OF INSURANCE
POLICY NUMBER POLICY EFFECTIVE
DATE IMMIDarrl POLICY EXPIRATION
DATE (MMIDDfIY)
LIMITS
LTR
GENERAL LU181LRY EACH OCCURRENCE f 2000000
cwMS MPOE ~ occuR TC2JGLSA260T3514TIL 6/1/2002 6/1/2003 MEO E%P WNPn Prpm s
X
owNER•s coNTRACTOas PROT.
TC2SCPP231 D7380
6/1/2002
6/1!2003 FER80N4LSAOV IN1uRr
f 2000000
x CONTRACTUAL
OENFHALAOOREWTE
5 0000000
OENL AaOREOATE UMn MFUEB PER
PROOVCTa-COMP/OP A00 f SGDDDDO
X PoIICY PROJEC LOC
q AU TOMOBILE LUV311LRY COMBNED BINDLE UMn
f
TC2JCAP260T3483-TIC 6!1/2002 6/1!2003 (E.w10rM) 2000000
x Amwro
Au owNEO AUTOS TC2ECAP260T3495TCT 6/1/2002 6/1/2003 eoDllvswum
s
scHEwLEO wTOS TRJCAP120D8731 TIL IP`°"°°°I
6/1/2002 6/1/2003
HIRED Auros eomly Ruubr
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6/1/2062
6/1/2003 Ih,.aaMl
R10PERLY DAM40E
P
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(
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)
GARAGE LUV3IUTY AUTOONLV-FA ACGOE1n f
ANV AUTO EA'~
oTREA TWW ' f
AUfO qAY: A03 f
S
EXCESS LIABILITY EACH OLCURREKK£ S
2~ODOOD
BE1399883 6/1/2002 6/1/2003 ADOREMTE s 20000000
C
X O
CUR ~ CWMS IMOE
f
OEOUCTIBLE S
RETEMION f f
A TC2JUB260T3366 6/1/2002 6/1/2003 WC eTATUTORY UMITa THER x
WORXER8 COMPENSATON AND
EMPLOYERS'UABILITY TRHU8120D872A 6/1/2002 6/1/2003 "~1A0C1OQ1T f 2000000
E.L DISEASE-FA EMPLOYEE f 2DD000O
E.L 018E45E-PCIIC LIMIT f 2QDDDDD
OTHER TC2JSPS120D151A 6!1/2002 6/1/2003 occumenca/A9Nre0ate $2MlSBM
A Rellroad Prolecdve Uabillty See AtlaChed 3/1/2002 3/1/2003 Replacement Cost value
C All-Risk Property
DESCRIPTON OF OPERATIONSILOCATIONSNEHICLESIE%CLUSIONB ADDED BY ENDORSEMEHfISPECIAL PROVISIONS
CITY OF SCHERTZ IS INCLUDED AS ADDITIONAL INSURED UNDER GENERAL LIABILITY ALMA.
CERTIFICATE HOLDER l54 noolnowu wsuREn iNauaER LETrsR:_ CANCELLATION
CITY OF SMERT2 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION
DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 60 DAYS WRRTEN NOTCE TO
P.O. DRAWER 7 THE CERDFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL IMPOSE NO
OBLIGAPON OR LUIBILRY OF ANY LIND UPON THE INSURER, ITS AGENTS OR
SCHERTZ, T% 73154 REPRESENTATIVES.
v wy. W S ~/W~ t/V ~ PROPERLY ~I ~ CASUALTY
.e^~^... e.",.'. II ® ACORD CORPORATION 199$
DATE IMYIDDIYY)
CONTINUED FROM PAGE 1 coMPANY
E MUNICH REINSURANCE COMPANY
DOMPANv
F SCOR REINSURANCE CO
COMPANY
G AXA REINSURANCE COMPANY
COMPANY
H ALIIANZ INSURANCE COMPANY
' THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION
NLY AND CONFE NO I
-- --
HOLDER: THI ~CERTIFICATE150ES -NOa`7UNEND, ER DR
ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.
CONPANIES AFFORDING COVERAGE
COMPANY
A ACE INSURANCE CO. LTD
i COMPANY
B LEXINGTON LONDON & NEW YORKILLOYDS
COMPANY
C CONTINENTAL CASUALTY CO
i coMPANr
D FMGLOBAL
YERA6ES :. ~ .-~ .. Th(e 4aACkatesuporsedeecend replaces arty plavipasfy.lasued csNMcab.,,.. -~. i°'.= ~ ~ --:ux-1>'.. ~ ' ~`x'c.-~%:~ :.
THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE.FOR THE POLICY PERI00
INDICATED. NOTWITHSTANDING ANV REQUIREMENT, TERM OR CONDITIONOF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS
CERTIFICATE MAY BE ISSUED OR MAY PERTAIN. THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS.SUBJECT TO ALL THE TERMS.
EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY NAVE BEEN REDUCED BY PAID CLAIMS.
OD TIPE OF INSURANCE I POLICY NUMBER ~ POLICY EFFECTIVE 'POLICY EIfPIRATION ~ DOVERED PROPERTY ! LIMITS
LTR DATE IMMIDD/YYI I DATE IMM/DD/YY) ,
q X PROPERTY 4°~ CXD3531061-7 ; 03I01I02 . 03/01!03 I I9UILDING ~g Replacement
B cAUSes OF LOSS S0% DP994702 103/07102 f 03/01/03 -,. PERSONAL PRDPERrY ~ f ReplaumeM
C eASlc 1 6.5% RMP247970905 03/01102 ; D3/01/03 BUSINESS wcoME g Replacement
D BROAD 10% LP353 ~ 03/07103 ' 03/01/03 ~ E%TRA EXPENSE I S Replacement
E .SPECIAL 115% 0557860102 03/07102 -03/01/03 (BLANKET BUILDING ;g Reple-cement
F X FARTIOUAKE 13% F095016 O3/OlIO2 D3/Ol/O3 BLANKET PERS PROP ig Replacement
G X FLOOD - 1.5% P30997 ' 03107102 i O3IO7/O3 BLANKET BLDG S PP j g Replacement
'H X All Risk Property 70% CLP3001651 !.03101/02 ~.03/01/03~~ Ig
INCLUDES COPYRIGHTED NATHRIAL OF ACORD CORPORATION PATH ITS PERMISBION.
PAGE 2 AS ATTACHED TO CERTIFICATE OF INSURANCE
8434 Gault Lane Jon Gary Herrera
San Anlanio, Tezas 78209-1010 Director of External AJjairs
Phone: (270J 828-3086 ex(94
Fax: (210) 805-9458
TIME WARNER
CABLE
June 21,2002
Mr. Dewey P. Cashwell, Jr.
City Manager
City of Schertz
Post Office Box I
Schertz, TX 78154
Dear Mr. Cashwell. Jr.:
In accordance with our franchise agreement, enclosed you will find for your records the
original certificate of insurance covering the period of June 1, 2002, through June 1, 2003.
Should you have any questions, please do not hesitate to contact me at 828-3086,
extension 34.
in erely/~ >
w
Jon Gary Herrera
Director of External Affairs
JGH:mmm
Enclosure
cc: Steve Simonson
Franchise File
P A R A G O N
e ~ E
T.J. Conno~~y
Vice President
Public Affairs
SAN ANTONIO
April 15, 1994
City Manager Kerry Sweatt
City of Schertz
P. O. Drawer I
Schertz, Texas 78154
Dear Kerry:
On Thursday, April 7, the San Antonio City Council certified
Paragon Cable's rates. At the time they certified our rates, they
also filed complaints with the FCC focusing on several areas.
The first area of focus dealt with the rate Paragon Cable charges
for basic cable service. While Paragon currently charges $9.10,
the City of San Antonio, following their review, believes that we
should, in fact, be charging $8.93, a difference of 17 cents.
Additionally, the City of San Antonio is challenging the way we
count satellite channels and our a la carting of WGN and WTBS.
Finally, the city took exception to Paragon's $2.00 Premium
Distribution Fee charge.
Effective April 8, Paragon Cable began escrowing the 17 cents we
currently collect o~~e-- the $8.93 w'sic rat_ the Citi' of Sa^ Artor.ie
has now certified. The other issues on Premium Distribution Fee
and a la carting will have to be decided by the FCC and, until
their final ruling, no funds fall under escrow. Thus, in the
months going forward, we will be escrowing the 17 cent per cable
customer basic rate charges that the city is questioning.
As I shared with you last fall when your city decided not to
certify for reregulation authority but to rely on the City of San
Antonio's findings and decisions, the residents of your community
are included in the escrow account which was established on
April 8. As you may recall, last fall I often referred to "as San
Antonio goes, so goes your community" if you elected not to
certify. Thus, when the FCC rules, and if they rule in favor of
the City of San Antonio, then the citizens in your community will
enjoy a refund along with earned interest. To put this in complete
perspective, if the FCC rules in the next four or five months, the
415 N. Main Avenue, P.O. Box 1121, San Antonio, Texas 78205, 210/222-9912
Owned 6y a KBICOM Incorporated Company
April 15, 1994
Page 2
expected refund/credit to our customers in all of our franchised
areas which are covered under the escrow account will amount to
approximately 7.5 cents to $1.25 each.
I will keep you apprised as we move forward. I do want to point
out to you that in just a couple of more months Paragon Cable will
be setting our new rates as they pertain to the newly issued rules
of February 22. Early indications to us show that an additional
rate cut on top of the $7 million reduction last fall may, in fact,
occur. The City of San Antonio and Paragon Cable plan to begin
review prior to the rate implementation. While Paragon does not
agree with the City of San Antonio's findings and we are appealing
at this time, we do appreciate the fair and professional attitude
San Antonio has brought to their review of our operations. It is
Paragon Cable's goal and, for that matter, the goal of all of our
franchises, that the correct and appropriate rates for cable
television services be in place. We are all learning as we are
going forward, but at the same time the City of San Antonio's
thorough review will not only protect the interests of the citizens
of San Antonio, but also the residents of your community.
If you have any questions that I can clarify for you, please don't
hesitate in contacting me directly. As always, thank you for doing
business with Paragon Cable.
Sincerel
T. J. C Holly
Vice Pr sident
Public Affairs
TJC:bhf
~~ 1HH) SCIIflRl'7, PAILFCWAI'
P. O. IRAAY'1:R 1
SCliGR1~L,'PL \AS 781 S~~-OSN~ -
At:(41-2)GSH-Si21 KERRY RSWF.ATT
PAX f (512) 6593204 CITY MANAGER
December 6, 1993
Ms. Susan Williams
Paragon Cable
315 North Main Avenue
Shn" Antonio'; Texas 78205..._
Re: Termination Bond #8123-07-49
Ms. Williams:
In- response to discussion today, ..the ..City of Schertz requests
either a irrevocable letter of credit or a bond in the amount
of $50,000 to fulfill the requirements of Section 19 of our
current franchise.
This iequest is idade a5 a `result' of the terminatidn' notice ' '
regarding-the bond noted above.
T1}ank you fqr your assistance in this matter.
Sincerely,. _
i
Kerry R. Sweatt
City Manager
KRSldb
cc: one Krause, City Secretary
NOTICE OF CANCELLATION OR TERMINATION
City of Schertz
P. O. Drawer I
Schel~tz, Texas 78154
FEDERAL INSU'RF~1CE ~MPANY
Cablevision Franchise Bond
dated on or about August31
amount of Fifty Thousand and
Date: Noveni~er 16, 1993
CERTIFIED MAIL- x_
REGISTERED MAIL:
RETURN RECEIPT REQUESTED
Surety, upon a certain
Bond No. 8123-07-49
79 83 ~ in your favor, in the
----------- ~g50,000.00 )
covering KBL ('ABTFSYSTEPS OF THE SOUPI-I[^IFST INC. as Principal,
hereby ~~notifies you'thatt'has-.eledtedto 'Cattoel'/terminate said bond .with such
December 21, 1993
.cancellation/termination tobecome-effective
FEDERAL INSURANCE COf!IPANY
B ~ ~~<<
Y
Mr. Robert Hughes ynn B~. Ma es Attorney in-Fact
cc KBL CablesXstems of the Southwest,- Inc. --
Principal
c/4 I(BhCONI Incorporated:. ,
address: P. O, BOx 4567
_ Houston; Texas- 77210 _ - _
OBLIGEE:Please acknowledge-receipt.of-thisNOtice.of Cancellation and thedate.
cancellation. will be effective.-Please complete-theattachedcopy and
~~--~,_... .. return_in-.the-enclosed; postagepaid:envelope to:,: .. _
Jokm L. wortham & Son
Bond Department. -
r_ C). S',ov. 13H8
Houston, Texas 77251 ~^1 QQ
Your Notice .of Cancellation received on: ~~-- A 3 - 19/ ~_
~3
We have arranged to cancel said bond effective: ~,~ ~ LA.D. 19L
Bond is released as to past, present and future liability: Yes ~ do __
. ~ ... _. Aemarks~:..- -.
~~ ti
- - ACCEPTc:D. ~~~_~
..,:, -.
8123-07-49 .Im
receiving all services .except "pay television" shall be- provided-to.~arh such
location.
b. No charge shall be made by the Grantee for the installation,
disconnection (when requested) reconnection (when requested), monthly services
and/or maintenance of equipment authorized by Section 18a.
c. .Grantee agrees to develop by December 31, 1995, considering the then
best available technology, the capability to introduce an audio and video message
on the Cable .System in times of public emergency, -and to provide. that such
override may be introduced from a City facility. Grantee further agrees to furnish
a status report of such technology available in its quarterly report due at the close
of the second quarter after the passage of the ordinance manifesting. -this
franchise agreement,. and thereafter iri"subsequent. quarterly reports as may be
reasonably convenient.
d. The Grantee shall provide substantially .locally-originated
~. programming each week and, shall exceed all such programming requirements
or recommendations, of the Federal Communications- Commission or applicable
State?~of Texas or federal- law. or regulation. The Grantee may produce such
programming itself or may rely on local groups to produce such programming
with technical assistance from the Grantee. The Grantee agrees to permit the
City, :at its option, to participate in' the formation and "operation of a broadly
representative .advisory. board to help implement community involvement in local
origination production and'use of public access- channels. The. Grantee shall
provide and maintain a studio in 'San Antonio, .Texas or in another location at
Grantee's optoh reasonably accessible. to residents of the City for the purpose of
,local program production and origination.
SECTTQN,19: S .uri :v
Upon "request by the City, the Grantee shall furnish to the City an
irrevocable letter of credit acceptable to the City or a bond issued by a surety
.company in form and amount reasonably acceptable to the City guaranteeing that
the Grantee will faithfully fulfill. and perform each and every term and condition
of this franchise and that in the case of default by the Grantee, the City may
recover from the principal and/or the bonding company or issuer of the
irrevocable letter of credit or surety bond the City's liquidated damages for the
Grantee's default.
SECTION 20. Waiver
The waiver by either party of a`breach or violation of any provision of this
agreement shall not operate as or be construed to be a waiver of any subsequent
breach of any provision of this agreement. To the contrary, such conduct shall not
_be considered a waiver of either.. party to future. performance of any such.
,'provisions ofahis agreement,: and. the pbligatfons of the parties`to such .future"
performance shall contipue in fu1T force and effect. -
11
RECEIVED OCT 2 g ~ggg
P A R A G O N
G A B L E
SAN ANTONIO
T. J. Connolly
Vice President
Public AHoirs
October 27, 1993
City Manager Kerry Sweatt
City of Schertz
P. O. Drawer I
Schertz, Texas 78154
Dear Kerry:
As we have discussed in previous meetings, the 1992 Cable Act
allows franchising cities to become rate regulators of cable
television. Recent FCC regulations have established benchmarks for
rates charged to subscribers for cable television services. We
have studied those rates for services and equipment and established
new rates effective September 1, 1993 which are in compliance with
the FCC benchmarks.
KBL Cablesystems of the Southwest, Inc. d/b/a Paragon Cable commits
to you that the basic rates charged to individual cable television
subscribers in the City of Schertz will be the same as those rates
for basic services and equipment charged by Paragon to individual
subscribers in the City of San Antonio, so long as the City of
Schertz does not seek to separately regulate these basic rates.
Given that the rates for San Antonio meet the FCC's established
standards, we believe that KBLCOM's commitment herein eliminates
the need for the City of Schertz to seek to regulate rates for your
residents separately.
415 N. Main Avenue, P.O. Box 1121, San Antonio, Texas 78205, 210/222-9912
Owned by a KBLCOM Incorporated Company
Page 2
As always, should you desire to discuss this further, please do not
hesitate in contacting me directly, and thank you for doing
business with Paragon Cable.
si
r.
T. J.
cc: su an Williams
Pu lic Affairs Manager
Paragon Cable
TJC:bhf
RECEIVED JUN 1 4 1993
TTT)T ^~A i(
1tl~L~®1V1
lrvcoHYOxnTe~
June 9, 1993
Kerry Sweatt
City Manager
City of Schertz
P.O. Drawer I
Schertz, TX 78154
Dear Mr. Sweatt:
K
fyT
This letter is to inform you that KBLCOM Incorporated, the
parent company of Paragon Cable has relocated its corporate office
from Memorial City Plaza, 800 Lessner, Suite 700, Houston, Texas
77024 to Two Allen Center, 1200 Smith Street, Suite 1800, Houston,
Texas 77002.
Sincerely,
C~J ?L~L[~2~
Gretchen Oliver
Director - Legal Services
1200 Smith Stteet, Sure 1H00 Housron, "I'ezas 7760? 7I3IG59-5411 Pax 713/GPI-2700
A vu hsia;ary of Housron Ind mtrics Incorporated
RECEIVED JUN 0 1 1993
PARAGON
C A B L E
SAN ANTONIO
T.J. Connolly
Vice President
Public AHain
May 28, 1993
City Manager Kerry Sweatt
City of Schertz
P. O. Drawer I
Schertz, Texas 78154
Dear Kerry:
Enclosed is the original, fully executed acceptance page of the
15-year franchise agreement between the City of Schertz and Paragon
Cable.
I want to thank you again for all your support and guidance
throughout this refranchising process. I believe we have achieved
a mutually beneficial agreement that we all can be proud of.
Paragon Cable looks forward to providing the residence of the City
of Schertz with the finest in cable programming and service.
As always,~if I can answer any questions or be of assistance,
please doyl'~ hesitate in contacting me directly.
sin
T. J. Connelly
Enclosure
TJC:bhf
415 N. Main Avenue, P.O. Box 1121, San Antonio, Texas 78205, 210/222-9912
Owned by a KBLCOM Incorporated Company
10 COMMERCIAL FIACE
P. O. DRAWER I
SC}[ER2Z. TERAS 781540890
AC (210) 658-7065
FAR (210) 659-3204 JITNE G RItAUSE
' DEP[TIY CI1Y MANAGER
CIIY SECRETARY
April 8, 1993
Debbie Scott
Classified Advertising Manager
The Seguin Gazette-Enterprise
P.O. Box 1200
Seguin, Texas 78155
Dear Debbie:
Attached is the franchise ordinance I discussed with you today.
According to our charter, this ordinance has to be published in
its entirety two separate weeks. I just re-read the charter pro-
vision and it would not necessarily have to be on the same day
each week - just two consecutive weeks.
We would like for it to be published one time next week, whichever
day is most convenient for you - then of course one time the follow-
ing week.
Of course, we hope you are still giving serious consideration to
the cost of such a lengthy document as discussed at our first
meeting.
Thank you for your cooperation.
Sincerely,
ne G. Krause
i City Secretary
jgk
encs.
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09/29/94
PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION
JOHN L. WORTHAM & SON, L.L.P. ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE
P
O
BOX 1388 HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR
.
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HOUSTON, TEXAS 77251-1388
COMPANIES AFFORDING COVERAGE
COMPANY (800) 362-4822
039869-77000-1994A-000018 MBS/RLT 1/6 A CHUBB GROUP
WBURED
COMPANY (800) 243-0185
KBL CABLESYSTEMS OF THE SWTHYEST, [NC. B AETNA LIFE 8 CASUALTY GROUP
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SAN AN ON 10 TEXAS 78293 D
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PRODUCER ~ :. " ~' 09/28/93
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION
JOHN L. WORTHAM & SON, L.L.P. ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE
P.O. BOX 1388 HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR
ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.
HOUSTON, TEXAS 77251-1388
COMPANIES AFFORDING COVERAGE
COMPANY (800) 362-4822
039869-77000-000018 BPF/RLT 1/3 A CHUBS GROUP
INSURED
COMPANY (BOO) 243-018$
KBL CABLESYSTEMS OF THE SOUTHWEST, B AETNA LIFE & CASUALTY GRWP
INC. (SAN ANTONIO DIVISION)
COMPANY
DBA PARAGON CABLE C AEGIS
P. 0. BOX 1121
COMPANY
SAN AN ONIO TEXAS 78293 D
COVERA~TES :;
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THIS IS TO CERTIFY THAT
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X PflODUCTS/COMPLETED OPER
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X CONTRACTUAL
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X INDEPENDENT CONTRACTORS
PERSONAL INJURY AGG 8 1000
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X PERSONAL INJURY
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10/01/93
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DESCRIPTION OF OPEflAT10N5/LOCATIONS/VEHICLES/SPECIAL ITEMS
ALL OPERATIONS.
*CITY OF SCHERTZ IS INCLUDED AS ADDITIONAL INSURED AS RESPECTS LIABILITY
ARISING WT OF OPERATIONS PERFORMED BY NAMED INSURED.
CE#'1'1FtCA'TE HCtLb~R CIkNCELL#1`IQ;N .
SHOULD ANY OF THE ABOVE DESCRIBED POLICIFb BE CANCELLED BEFORE THE
CITY OF SCHERTZ EXPIRATION DATE THEREOF, THE ISSUING COMPANY WILL ENDEAVOR TO MAIL
P. 0. BOX DRAWER 1 bO DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO TXE LEFT,
SCHERTZ, TEXAS 781$4 BUT FAILURE TO MAIL SUCN NOTICE SHALL IMPOSE NO OBLIGATION OR LIABILTY
OF ANY KIND UPON THE COMPANY, ITS AGENTS OR REPgEBENTATIVEB.
I
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JOHN L. WORTHAM & SON, L.L.P. ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE
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BOX 7388 HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR
.
. ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.
HOUSTON
TEXAS 77251-1388
, COMPANIES AFFORDING COVERAGE
COMPANY (800) 362-4922
039869-77000-000018 RRL/RLT 1/1 A CHUBS GRWP
INSURED
coIAPANV (800) 243-018$
KBL CABLESYSTEMS OF THE SOUTHUEST, B AETNA LIFE 8 CASUALTY GROUP
INC. (SAN ANTONIO DIVISION)
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P. 0. BOX 1121
COMPANY
SAN AN ON10 TEXAS 78293 D
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INDICATED, NOTWITHSTANDING ANY REQUIREMENT, TERM Ofl CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS
CERTIFICATE MAY BE ISSUED OR MAV PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS
EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY ,
HAVE BEEN REDUCED BY PAID CLAIMS.
CO
LTR TYPE OF INSURANCE PODCY NUMBFA POUCY EFFECTIVE POLICY IXPIMTION ALL LINTS IN TNOUSANDS OF DOLLARS
DATE IMM/DDNYI DATE (MMAWNY) LIMRB
GEN ERAL LIABIIRY BODILY INJURY OCC 1
A X COMPREHENSIVE FORM 3$2$3000 10/01/93 10/01/94 BODILY INJURY AGG I
X PREMISES/OPEMTIONS
UNDERGROUND PROPERTY DAMAGE OCC i
K EXPLO
SION b COLLAPSE HAZARD PROPERTY DAMAGE AGG /
X PRODUCTSA:OMPLETED OPER BI d PD COMBINED OCC / 1000
X CONTRACTUAL BI b PD COMBINED AGG I 1 DDD
X INDEPENDENT CONTRACTORS PERSONAL INJURY AGG 1 1 DDD
X BROAD FORM PROPERTY DAMAGE
X PERSONAL INJURY
AUT OMOBNE UABNITY
BODILY INJURY
I
B ANV AUTO 71 FJ99767$ 10/01/93 10/01/94 (Per pereanl
X ALL OWNED AUTOS IPrNate Pawl 71 FJ99656$ 10/01/93 10/01/94
X
ALL OWNED AUTOS BODILY INJURY
p
i
IDIMf then Private Pefsenpeq (
er eccMenU
X HIRED AUTOS
X NONAWNED AUTOS PROPERTY DAMAGE 1
GARAGE LIABILRV BODILY INJURY d
PROPERTY DAMAGE t
COMBINED 1000
EXCESS W&IITY EACH OCCURRENCE /25000
C UMBRELLA FORM X0279A1A-93 10/01/93 10/01/94 AGGREGATE 125000
X OTHER THAN UMBRELLA FORM I
WORKERS COMPENSATN)N AND
EMPLOYERi LIneAITr STATUTORY LIMBS 3
B 71 C 714070 SUF 10/01/93 10/01/94 EACH ACCIDENT t $00
THE PROPRIETOIV
PARTNERS/EXECVTNE INCL DISEASE-POLICY LIMIT i SOO
OFFICERS ME: EXCL DISEASE -EACH EMPIOVEE / SOO
OTNER
DESCRIPTION OF OPERATIONBAOCATIONSNENICLES/SPECUIL REMS
ALL OPERATIONS.
•CITY OF SCXERT2 IS INCLUDED AS ADDITIONAL INSURED AS RESPECTS LIABILITY
ARISING WT OF OPERATIONS PERFORMED BY NAMED INSURED.
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8HOULD ANY OF THE ABOVE DESCRIBED iWLK:1E6 HE CANCELLED BEFORE THE
CITY OF SCHERT2 IXPNIATION DATE TNEREOF, THE ISSUING COMPANY WNL ENDEAVOR TO MML
P. 0. BOX DRAWER 1 6O OAYH WRRTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT,
SCHERT2, TEXAS 781$4 WT FANURE TO MAN SUCN NOTICE SHALL MIPOHE NO OBLNiAT10N OR IWILRY
OF ANY KIND UPON THE COMPANY, RS AGENTS OR REPRESENTATIVES.
AUTNO ED// REPRES NT~T,~~j ,/ n /~
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NOTICE OF
City of Schertz
P. 0. Drawer I
Schertz, Texas 78154
FIDERAL INSURANCE COMPANY
Cablevision Franchise Bond
dated on or about August 31
OR TERMINATION
Bond No.
Date: November 1 1993
CERTIFIED MAIL•
REGISTERED MAIL _
RETURN RECEIPT REQi„~;ED
Surety, upon a cer.n
8123-07-49
19 83 in your favor, in th
amount of Fifty Thousand and No/100----------------------- $50,000.00 )
covering KBL CABLESYSTENIS OF THE SOUPI-NdFST IP7C. as Principal,
hereby notifies you that it has elected to cancel/terminate said bond with such
December 21, 1993
cancellation/termination to become effective
FEDERAL INSURANCE COMPANY
Mr. Robert Hughes
cc KBL CablesysteHU of the Southwest, Inc.
Principal
c% KBLCOM Incorporated
address: P. O, Box 4567
Houston, Texas 77210
By ~ `/ ~ u ( C~
LY~n~• Ma S Attorney-in-Fact
`.
OBLIGEE: Please acknowledge receipt of this Notice of Cancellation and the date
cancellation will be effective. Please complete the attached copy and
return in the enclosed postage paid envelope to:
John L. Wortham & Son
Bond Department
P. O. Box 1388
Houston, Texas 77251
Your Notice of Cancellation received on: ~~~ ~ 3 19/ 3
We have arranged to cancel said bond effective: ~ ~ ~~ A.D. 19~-
Bond is released as to past, present and future liability: Yes ~ No
Remarks:
8123-07-49 lm
ACCEPTED: /
itle
JLW-472 Rev. 5/22/90
REINSTATEMENT NOTICE
City of Schertz
P. O. Drawer I
Schertz, Texas 78154
Date: Decker 28, 1993
CERTIFIED MAIL: x
REGISTERED MAIL:
RETURN RECEIPT REQUIS"TED
FF~ INSiIRANt~' tXIMPANV ,Surety, upon a certain
C'aY~l vi Ri nn Frant~hi ca Rnnrl ,Bond No. $123-07-40
dated on or about August 31 , 19 83, in your favor in the
amount of Fifty Thousand and No/100---------------------__ ~~50,000.00 ~
KBL CABLESYSTENS OF THE SOUTHWEST INC.
covering ~ as Principal,
heretofore cancelled effective Dece[tttJer 21, 1993
is hereby reinstated and remains in full force and effect as of date issued.
Mr. Robert Hughes
KBL Cablesystems of the Southwest, Inc.
cc c/o KBLCOM IncortJOrated
P. 0. Box 4567
Houston, Texas. 77210
FEDERAL INSURANC~EI~ODi~ANY
LyktrtJB. Ma es Attorney-in-Fact
OBLIGEE: Please acknowledge receipt and acceptance of this Reinstatement Notice on the attached copy and
return in the enclosed postage-paid envelope to:
John L. Worsham & Son
Bond Department
P.O. Box 1388
Houston, Texas 77251
Your Reinstatement Notice received on: ~/~ •- - ~ ~ , 1 g /
We have reinstated this bond as of:
8123-07-49 lm
JLW~d66
~n~1 _
PUBLISHER'S AFFIDAVIT
THE STATE OF TEXAS,
County of Guadalupe
ORDINANCE NO. 93-F-9
AN OF7~tNANCE GRANT-
ING A FRANCHISE TO
KBL CABLESYSTEMS OF
THE SOUTHWEST, INC.
D/B/A PARAGON CABLE
TO FURNISH CABLE
TELEVISION AND RE-
LATED SERVICES AND
SETTING FORTH THE
TERMS AND CONDI-
TIONS THEREOF.
Passed, approved and
adopted the 18th day of
May, 1993.
June G. Krause,
Ciry Secretary
~,r.
ORDINANCE NO. 93-F-8
AN OR~GINANCE GRANT-
ING AFRANCHISE TO
KBL CABLESYSTEMS OF
THE SOUTHWEST, INC.
D/B/A PARAGON -0ABLE.
TO FURNISH CABLE
TELEVISION AND RE-
LATED SERVICES AND
SETTING FORTH THE
TERMS AND CONDI-
TIONS THEREOF.
Passed, approved and
adopted the 1$th day of
May, 1993.
June G. Krause,
Ciry 3ecretar~-
Before me, the undersigned authority, on this date personaIIy
appea~~~~oy. ~' ' C~ /~ ~- mown to me, who, beingby me
duly s:~-orn, on his oath deposes and says that he is the publisher of
The Se__~uin Gazette-Ent`:-prise, a newspaper published in said caunty;
that a copy of the wiibin and foreboing ~~ C'~ was published in
sad newspaper ~ times before the reT.uu day named therein,
such publica ons being on the following dates:
and a newspaper copy of which is hereto attached.
-~~~
Sworn to and s•.ibsc~ed before me, this ;~ dap o~E%~ AD, I9 ~_ ,
' Pt v MARG
-`fit.. S~'.,~ `~'-T 4 ~1gKSON
• : ~~ ~' t No ~•v ~,„I,,;~ ~ Nat~ry 'c, Guadalupe Coup, Teas
7 s~ ~T:: or . x~
rT.,...:5~ 1=~
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CUSTOMEii REF' ~CLARED VALUE'
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2.
. "" ,y, «_-~,,,,,._. ~.. s.^y,• COD S
~DE ~ '~ 'TpilE: DATE C AORGES > s
i
be NYde Only }Or ION Or Cpnege Of gGOde CerriBd, WhICh eheil IIOf e>•cNd 8 vdue of $SD.00 }Of gOOGe GI
~ cf , ,un1sN 1 higher value b dacmred GY Ehe euMomer in writing.
.-- __..
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City of SchertZ Receipt No 4'7552
i
~~ /9 Is~3
~ Received from ~ o
I
I ~ . ~ Dollars
Code No.
s~ ~ f, J~8%~`f
Amount Paid ~~ ~ 9 "r CITY OFFICIAL
a.
wwtE-onrolwu.
YELLdN+"OFFICE COPY
PNe(-CONSIGNEE
t}ee GOLD-BNIPPEP
J-